Making the change from employed to self-employed as a paid carer

If you’ve been working
in the care industry for a while, it might have crossed your mind to consider
going self-employed and offer care services in your local area, rather than
through an employer.

Working for yourself
is a popular option for many people. You have the flexibility to determine what
hours you want to work, which is great if you have other commitments, such as
the school run. You can also control the amount that you earn, rather than
being paid a set wage by an employer. You get to pick and choose the clients who
you want to work with and the type of work that you want to do.

There are, of course,
the downsides too, which you need to consider before making a definite
decision. Without having an employer, you will need to keep on top of your
finances, HMRC responsibilities and costs. You will need to allow for things
like holidays and sickness, where you will no longer be paid. You will need
policies, contracts and insurance, a DBS check, and you will need to be
confident that you can find clients to get your business started.

If you are sure that
you want to leave your current employer and go self-employed, then there are a
few things that you will need to think about. It is worth doing some planning
while you are still employed, so that you don’t go from having a steady wage to
having no income.

You should first come
up with a business
plan. This should detail everything from exactly what kind of services you
want to offer, the area that you want to work in and what kind of clients you want
to attract.

Next, you need to
think about how much you are going to charge. By already working for an
employer, you probably have a good idea of what a client pays and how much you
receive as a wage. You will get the full amount from a client, but you will
need to account for the time to takes to travel, doing your admin work and
taking holidays. We have a detailed guide in the Document Store looking at how
to set
your costs and plan your budget. You
will also need to ensure that you are competitive, so take a look at similar services
in your area.

You can start to get
your paperwork in place early on too, and this includes things like a contract
that you will use with your clients, policies on safeguarding and risk
assessment, for example. We sell all of these documents for you to customise and
to make it even easier, we have a Complete
Self-Employed Paid Carer Bundle, with everything for one price.

Make sure that you
have the correct
insurance in place before you take on any clients and get a DBS check to show them for
peace of mind.

Finally, think about
how you are going to find clients for your new business. You might have met
some people through your current employer who would like you to work for them,
but you should check your employment contract carefully, as there may be a
clause restricting you from doing so. Otherwise, think about marketing your
services in local facilities like day care centres, churches and doctor
surgeries. A simple leaflet can be very effective. Also consider a basic web
page, which might appeal to the families of those looking for care.

You can do a lot of
the above before handing in your notice. Once you have your first client, you
will need to ensure that you register with HMRC as self-employed and sign up
for Self Assessment for your taxes and National Insurance. You can do this
yourself to start off with, as it is quite straightforward, but you might want
to consider an accountant as your business grows.